Cubist Systematic Strategies LLC Lowers Holdings in Encompass Health Corporation $EHC

Key Points

• Cubist Systematic Strategies LLC has reduced its ownership stake in Encompass Health Corporation by 32.7% during the first quarter, now holding 38,501 shares valued at approximately $3.9 million.
• Institutional investors collectively own 97.25% of Encompass Health, with several firms, including Invesco and T. Rowe Price Investment Management, increasing their holdings significantly in the same period.
• Encompass Health announced a quarterly dividend increase from $0.17 to $0.19 per share, reflecting an annualized yield of 0.6% and a dividend payout ratio of 13.31%.

Cubist Systematic Strategies LLC trimmed its stake in Encompass Health Corporation (NYSE:EHC - Free Report) by 32.7% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 38,501 shares of the company's stock after selling 18,714 shares during the quarter. Cubist Systematic Strategies LLC's holdings in Encompass Health were worth $3,899,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also bought and sold shares of the company. WPG Advisers LLC bought a new stake in shares of Encompass Health in the 1st quarter valued at approximately $27,000. Colonial Trust Co SC acquired a new stake in Encompass Health during the 4th quarter worth about $29,000. Mitsubishi UFJ Asset Management Co. Ltd. lifted its holdings in shares of Encompass Health by 749.0% in the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 416 shares of the company's stock valued at $42,000 after buying an additional 367 shares during the period. Arlington Trust Co LLC raised its holdings in Encompass Health by 22.9% in the 1st quarter. Arlington Trust Co LLC now owns 671 shares of the company's stock worth $68,000 after purchasing an additional 125 shares during the period. Finally, Caitong International Asset Management Co. Ltd increased its holdings in shares of Encompass Health by 19.0% in the first quarter. Caitong International Asset Management Co. Ltd now owns 720 shares of the company's stock valued at $73,000 after purchasing an additional 115 shares during the last quarter. Hedge funds and other institutional investors own 97.25% of the company's stock.

Encompass Health Trading Down 1.1%

NYSE EHC traded down $1.39 on Wednesday, hitting $123.90. 77,770 shares of the stock were exchanged, compared to its average volume of 804,595. The company's 50-day moving average price is $117.09 and its two-hundred day moving average price is $112.30. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.06 and a quick ratio of 1.06. Encompass Health Corporation has a 52-week low of $87.85 and a 52-week high of $126.49. The company has a market capitalization of $12.48 billion, a price-to-earnings ratio of 24.26, a P/E/G ratio of 2.20 and a beta of 0.92.

Encompass Health (NYSE:EHC - Get Free Report) last posted its earnings results on Monday, August 4th. The company reported $1.40 earnings per share for the quarter, beating analysts' consensus estimates of $1.20 by $0.20. Encompass Health had a net margin of 9.22% and a return on equity of 17.83%. The business had revenue of $1.46 billion for the quarter, compared to analysts' expectations of $1.43 billion. During the same quarter in the previous year, the firm posted $1.11 earnings per share. The firm's revenue for the quarter was up 12.0% on a year-over-year basis. Encompass Health has set its FY 2025 guidance at 5.120-5.340 EPS. Research analysts predict that Encompass Health Corporation will post 4.8 EPS for the current year.

Encompass Health Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 15th. Stockholders of record on Wednesday, October 1st will be given a $0.19 dividend. This is a boost from Encompass Health's previous quarterly dividend of $0.17. The ex-dividend date of this dividend is Wednesday, October 1st. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.6%. Encompass Health's payout ratio is 14.87%.

Insider Activity at Encompass Health

In other Encompass Health news, EVP Patrick William Tuer sold 1,020 shares of Encompass Health stock in a transaction dated Wednesday, August 27th. The shares were sold at an average price of $123.59, for a total value of $126,061.80. Following the completion of the sale, the executive vice president owned 18,846 shares in the company, valued at $2,329,177.14. The trade was a 5.13% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 2.10% of the company's stock.

Analysts Set New Price Targets

A number of research analysts recently issued reports on EHC shares. Stephens upgraded Encompass Health from an "overweight" rating to a "strong-buy" rating and set a $135.00 target price for the company in a report on Thursday, June 5th. Wall Street Zen downgraded Encompass Health from a "strong-buy" rating to a "buy" rating in a report on Friday, June 6th. UBS Group boosted their price target on Encompass Health from $130.00 to $140.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. Truist Financial boosted their target price on Encompass Health from $135.00 to $140.00 and gave the stock a "buy" rating in a research report on Thursday, August 14th. Finally, KeyCorp lifted their price objective on Encompass Health from $122.00 to $135.00 and gave the stock an "overweight" rating in a report on Tuesday, May 27th. One analyst has rated the stock with a Strong Buy rating and six have given a Buy rating to the company's stock. Based on data from MarketBeat.com, Encompass Health presently has a consensus rating of "Buy" and a consensus price target of $134.00.

Encompass Health Company Profile

Encompass Health Corporation provides post-acute healthcare services in the United States and Puerto Rico. It owns and operates inpatient rehabilitation hospitals that provide medical, nursing, therapy, and ancillary services. The company provides specialized rehabilitative treatment on an inpatient basis to patients who have experienced physical or cognitive disabilities or injuries due to medical conditions, such as strokes, hip fractures, and various debilitating neurological conditions.